Have you ever thought you received counterfeit money? Perhaps you have received it before and you weren’t sure who to contact. If that has ever happened to you or you are afraid of it happening to you, you can now rest assured that you’ll know what to do if it does. Counterfeiting money is such a problem that currency seems to be constantly changing to deter counterfeiters. However, it seems that counterfeiters find out a way to duplicate currency soon after new “counterfeit proof” methods are developed. Just because a new look comes out doesn’t mean it is impossible to receive a counterfeit bill.

On the retail side

If you work in a retail establishment and a customer hands you a counterfeit bill, don’t return it to them. You want to contact a supervisor as soon as possible so that the supervisor can assess the situation and verify that the money is counterfeit. Retail establishments usually have special counterfeit detector pens that are used to mark money to ensure that it is real. The pen leaves either a clear to light brown mark on the currency if it is real. If it is fake then the mark may show up as extremely dark brown or black.

After the supervisor determines that the money is fake, the supervisor will then take the money away and will contact the police. The police will arrive and do what they are trained to do to confirm that the money isn’t real. They will then take care of matters from there by filling out a report and taking the fake money as evidence.

On the consumer side

Consumers have also been known to receive counterfeit money from banks and retail establishments. You may even receive a counterfeit bill at a yard sale. Anywhere money changes hands holds the potential for counterfeit money. If you find that you have received a counterfeit bill, don’t give it back to the person that gave it to you. Call the police immediately. If you give it back, then you are running the risk of the money ending up back into the currency pool. This could eventually get someone into trouble, but calling the police immediately will keep anyone from getting into any type of trouble. They will assess it, determine it to be fake, and they will then take it with them to bag as evidence.

Identification

Money has very distinguished markings. In the case of the U.S. dollar, there is a small plastic strip that is inserted into the bill. It is on your left side when looking at it. You can also look for watermarks or even invest in one of those detection pens so that you can check your money to ensure none of it is fake. You can also look at it to see some of the tiny little fibers in the paper. They are usually red and blue. The paper also has a certain texture to it.

If you notice that the texture seems off, fibers are missing, the watermarks are not watermarks at all, or the plastic strip is missing, call the police. Even if the plastic strip is missing, check all of the other features. Sometimes children get a hold of money and remove the strips, but this can usually be determined by seeing a slight tear where the strip would normally be. By looking at these things, you are able to determine whether or not you have actual counterfeit money in your hand and, if you do, you now know what you have to do to get the problem taken care of.

Different countries have different legal punishments for those producing counterfeit money and the punishments are quite tough. The reason why the punishments are harsh is because counterfeit money reduces the value of actual money and causes inflation due to the increase of money being circulated throughout the economy. What this is is an artificial increase in the amount of money in the money supply that is not authorized. This severely devalues the currency and results in losses that can amount to millions of dollars each year.

The impact is so severe that, unfortunately, the companies that receive counterfeit money are not reimbursed for the fake bills, which force them to raise their prices on their products. Even in countries where their paper money makes up just a fraction of their total circulation of money, the effects of the counterfeiting may be minimal. However, the confidence in their currency may decrease significantly.

Beginning in 1996, the United States began making changes in the design of the $100 bill to keep it from being counterfeited. Other bills followed suit for 10 years after the initial change. The changes occurred as follows:

• 1997 the $50 bill
• 1998 the $20 bill
• 2000 the $10 and the $5 bill
• 2003 the $20 bill

However in 2004, the $50 bill had to be redesigned again as did the $10 bill in 2006. Fortunately, the $1 and $2 bills are seen to be not worth it for counterfeiters due to their low value although it is not out of the question for one of these bills to be reproduced.

Penalties by country

Every country has its own set of penalties for counterfeiters. Some just have to pay fines, some just serve time in jail, and then there are those who must serve time in jail in addition to paying fines for their crime. In the United States, counterfeiting is a federal felony that involves the Secret Service. When found guilty of this crime, the penalty is 15 years in prison as well as seizure of the property that was used in the creation of the counterfeit bills. Restitution will most likely have to be paid on top of a number of fines.

Another country that imposes a 15 year sentence is South Africa. They too have absolutely no tolerance for counterfeiters and will place them in prison in a heartbeat because of the adverse effects counterfeiting has on the economy.

As for Europe’s punishment for counterfeiting the Euro, offenders risk four years in jail and fines that could equal up to $120,000. If the crime is an organized crime, then the fines can be up to $360,000. This penalty seems considerably less than that of the United States and South Africa, but the fines may be considered punishment enough although the fines in the United States are determined based on severity of the crime.

In Canada, if someone is simply found holding a counterfeit bill, the penalty is up to 14 years in prison. Australia has a penalty of $5,000 for individuals, $10,000 for corporations and up to 2 years in prison in addition to the fines.

Counterfeiting bills poses a problem all over the world and it is worse in some places than others. It should be known that the bills can be traced to their maker and, once caught, those who produced the bills face severe punishment. It is common for the offenders to think they will never be punished for their crime, but there are ways in which they can and will be tracked down and made to pay for these crimes they commit against the economies of the world.

Anyone can receive counterfeit money no matter where they are. You can go to the bank and get that one $100 bill that was not checked when it was received by the bank. You then go to the grocery store and pay with that $100 bill when the cashier checks it was a special pen that indicates the bill is counterfeit. The cashier is silent and goes to her manager to show them the bill. All the while, you are standing at the checkout confused as to what is going on until the manager comes back to tell you that they must confiscate the $100 bill because it is counterfeit. They have already notified the authorities so the situation can be investigated. Now you are stuck with a cart full of groceries and you must wait for the police in order to tell them how you received the bill.

This is a situation that may be somewhat unusual, but some have experienced. They have been at no fault regarding the possession of a counterfeit bill because, if not checked properly, they can be distributed by banks, stores, and other venues in which money changes hands.

But what if you were on vacation and this happened? First of all, you’re not from the area and you just handed off a counterfeit bill. That makes you look quite suspicious and, unfortunately, can get you into serious trouble and ruin your entire vacation. That is why it is important to take certain precautions.

Precautions to take

One can never be too careful when traveling with cash. If at all possible, one might prefer to use traveler’s cheques or use a debit card or credit card. These items can be reported if missing, whereas cash cannot be replaced. Traveler’s cheques can be replaced if missing so your trip isn’t completely ruined. However, if you must carry cash, there are ways to protect yourself against receiving counterfeit money.

Depending on where you are in the world is going to determine what tools you need, but using items such as:

• A counterfeit pen detector can keep you receiving a counterfeit bill. Simply keep one in your purse or pocket to immediately mark the bill. The mark should show up clear if the bill is real and the mark will show up as dark if it is counterfeit. Although many retailers use these pens, cashiers can get into a huge hurry and forget to mark them.

• UV detectors can also protect you. These devices can come as pens or key chains that you can shine on the bill to make sure the security thread is inside the bill and that the denomination of the bill is printed on it. UV devices that work on U.S. bills also work on Canadian bills. When shined on a Canadian bill, the coat of arms along with the words FIVE CINQ and BANK OF CANADA BANQUE DU CANADA appear over the portrait in blue. The UV light will also pick up the red fibers on the bill.

It is also good to know about the different types of security used on the printing of bills even if you are visiting a foreign country and cannot find a counterfeit detection device for that particular currency. By doing this, you can immediately spot a counterfeit bill and call the authorities or return it as soon as you receive it and let them know that it is counterfeit. This can keep you out of trouble for circulating counterfeit money, especially when you are away from home and trying to enjoy yourself. This can also prevent the money from ending up in someone else’s hands.

Receiving counterfeit money while in a foreign country is something that is not expected when traveling abroad. In fact, no one thinks to look up what to do when in a foreign country in case a counterfeit bill is received. It is definitely not out of the question that when money changes hands in a foreign country, especially with tourists, that a counterfeit bill may be involved. If caught circulating this bill, you could be in serious trouble with the authorities of that country, which not only ruins the trip, but goes a lot deeper than that.

Circulating counterfeit money is a very severe offense in the countries around the world. The reason why the crime is so severe is because counterfeiting poses a threat to the economy of that particular country. It results in financial loss for the citizens and has a harmful effect on the functioning of that country’s central bank and its reputation. When caught, offenders serve prison time. It depends on the country how much prison time is issued, but it is in your best interest to protect yourself in every way possible from becoming the latest victim of a counterfeiter. Even when circulating money with the best intentions, it is always good to know what is in your pocket.

Precautions

There are devices that can detect counterfeit currency in some countries. The internet contains wonderful information on how to obtain counterfeit pen detectors, ultraviolet lights, and other devices that can be used to detect a counterfeit bill. If the country you’re going to does not have devices that you can acquire, then learn as much as you can about the currency and its security features. There are such things as grains, swirls, watermarks, fibers and other elements that are placed upon currency in order to set it apart from that which is not real. These security features are difficult for counterfeiters to duplicate, so it is good to know what they are.

What to do if you receive a counterfeit bill

First of all, when receiving money after a transaction, be sure to look at it closely. Don’t worry what the cashier will think of you because you may be thankful you did this later on. If you are not sure a bill is counterfeit, but it look suspicious, ask the cashier to give you another one and explain your suspicions so that they can put the bill to the side to avoid circulation. If they have tools to check the validity of the bill, ask them to do so if it does not appear there are any marks on the bill from prior checks.

If it is determined that the bill is counterfeit from your own device, the device of the cashier, or from visual verification, ask that the cashier call the authorities so that the bill can be turned over to them and the situation investigated. If you are going to ask the store clerk to call the authorities, and the store clerk verifies that you received the bill from their till, you will not be in trouble and can enjoy your vacation. This prevents you or anyone else from circulating the bill any further throughout the country. This can also keep a lot of people out of trouble and also saves the economy of that country a lot of money.

What it comes down to is being vigilant and knowing what to look for. In educating yourself about the currency of a foreign country as well as scams that target tourists, you can enjoy your vacation without the worries of someone trying to make you take the fall for their illegal actions.

Counterfeit money is an uncommon yet unfortunate reality. The chances of receiving counterfeit dollar bills are very small, but not impossible. Many incidents have been reported of people unknowingly getting fake money from Automated Teller Machines (ATMs) and bank tellers.

If you suspect you have been given fake money by an ATM, there are many ways you can verify your suspicions. Compare the bill to another of the same denomination that you are sure is not counterfeit. Closely examine the printing, the patterns, the colors, the text and the feel of the paper. Does it feel and look the same? If so, then the bill is likely not counterfeit. If you notice any discrepancies, you are likely looking at a fake bill. Hold the bill up to a lamp and look for the verification strip running through it. Is it there? If not, you are surely looking at a fake. If you are still unsure, you can easily procure a special marking pen that will help you verify the bill’s authenticity.

If you suspect your bill is indeed a fake, do not try and spend it. Even though you came by the bill through honest means, trying to spend it is a crime and can get you in serious legal trouble. Even if you claim you didn’t know you were dealing with counterfeit money, you will have a hard time explaining your case to the police.

The first thing you should do if you draw counterfeit money from a bank machine is contact the bank. Most major banks in the United States have 24-hour telephone operators standing by to help their customers deal with problems and questions. Scan the area inside the bank. You’ll likely find the 800 number printed somewhere on or near the ATM machine. If not, flip over your bank card and look for the number on the back.

If you make contact, tell your bank’s representative about the situation in the utmost detail. The bank might also want to contact the authorities, local police or the U.S. Secret Service, which deals with issues of forged and counterfeit folding money.

If you are not able to contact your bank’s representative, call the police and apprise them of the situation. Make note of the time and the location of the ATM or bank. The police might want you to turn in the counterfeit money, or hold onto it and turn it in to the bank the next day.

Whatever you do, do not spend the money. I cannot express how important it is that you do not attempt to pass counterfeit money.

If you follow the correct procedures, you should be able to get your money back without incident. Unfortunately, that is not guaranteed. If you have trouble getting your money replaced, examine your renters’ or homeowners’ insurance policy, if you have one. Many of these policies have provisions safeguarding against counterfeit money, and you may be able to get your money replaced.

Nobody wants to get fake money from an ATM machine. But if you do, you should do your best to be responsible and rectify the situation.

In Hollywood’s infancy, filmmakers used real money in their productions, only to run into legal and administrative problems such as workers stealing the money. At the time, very strict laws prohibited the filmmakers from copying, photographing or imitating American currency in any way. This presented Hollywood with a tricky problem. Always resourceful, filmmakers found a way around it.

At the time, there happened to be large amounts of devalued currency printed by the Confederates during the American Civil War and Mexican Money printed during the Mexican Revolution. Both failed governments had issued a lot of money, hoping the volume would help stave off the money’s declining values. Of course, they failed and the money was useless until Hollywood bought up caches of both types of cash, and the first Hollywood prop money was created.

Over time, the Confederate and Mexican folding money wore out, and most of it was thrown away or lost. By then, laws governing the reproduction of fake currency had loosened somewhat. Prop-making manufacturers began to print false money.

Much of this early fake money is now available via specialty Hollywood memorabilia stores. The makers of this money often copied Mexican and Confederate designs and used deliberate misspellings like “Steats of Amreica” to be sure the money could not be passed off as real. Many of these designs are interesting and very beautiful to look at. Though the designers were making obvious fake money, they took the time to make it look great.

In more recent history, laws loosened even more and the stacks of prop dollars being printed by manufacturers became even more convincing. There have been several incidents where the Secret Service (which oversees American currency and stings counterfeiters) has stepped in and confiscated Hollywood prop money, and forced companies to discontinue printing it.

In one notable case, bills with a total face value close to $1 Billion was blown up during the filming of “Rush Hour 2” in Las Vegas. A significant amount of the fake money, which happened to be very convincing, drifted into crowds of people in Las Vegas. Knowingly and unknowingly, people began to use the bills. Large amounts of this money began turning up in the Las Vegas and Los Angeles areas. Many bills were being passed successfully.

As the incident grew more widespread, the Secret Service got involved and the company that produced the bills, Indepenedent Studio Services, Inc., became embroiled in legal trouble. The Secret Service deemed their fake money product too realistic and seized the prop money from ISSI’s facilities. Evenutally the company had to stop printing fake money altogether.

Today, prop money is still widely available via memorabilia stores, prop suppliers, private collectors and online auctions. But this prop money is almost always obviously fake, with indicators printed on the bills. Also, much of this fake money is smaller than its real counterpart.